MAY - Melbana Energy

[Putty7]

Re: MEO

Not AGM, but board meeting. The chart looks like retracement may have ended. A good tight entry can be had, but the potential for gap down would probably mean a slightly wider stop / smaller position for traders.

Alternately, buying on open after the announcement (if positive) may also work...

My bad, thanks Skc, think you are right, might still be a little bit of up and down for a while until we see something come out, I think they have to announce a drill before year end to keep the block percentage intact so that is something to look to, with regards to the farm in thats still a guess until they actually announce something more detailed, the last announcement raised more questions than it answered, then the cap raising on top of that, the SP didn't have much of a chance to sustain itself, good to see it held as high as it did.

 

[TraderMC]

Re: MEO - Methanol Australia

I still can't get over the way it's trading.! It seems to go from one extreme to the next without any justification. Anyway, I'm still holding to see what the outcome will be from the farmin. Thanks guys for your input!

 

[TraderJoe]

Re: MEO - Methanol Australia

Seems everyone is 'exhausted' mentally with MEO's trading. Seems to do it's own thing- rarely correlates with market news. The Farmin is greatly anticipated- let's hope it is not postponed again. This is purely my opinion,but it seems the SP is being 'restricted' from running beyond mid forties at the best of times. Does anyone have a view on this? Thanks for any input.

 

[jetboat]

Re: MEO - Methanol Australia

Seems to me buyers have put the brakes on anything over mid 40's until after the chairman gives his approval "hopfully this week".

 

[TraderJoe]

Re: MEO - Methanol Australia

Thanks Jetboat, that is what seems to be the consensus with the stock. Good luck to all awaiting the announcement.

 

[bigdog]

Re: MEO - Methanol Australia

We have all been waiting for an announcement!!!

18-12-2009 09:47 AM MEO Trading Halt
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01023899

MEO Australia Limited Announcement - Request for trading halt

MEO Australia Limited (ASX: MEO) requests a trading halt of its shares of up to 2 days effective immediately pending an announcement regarding a farm-in transaction in relation to MEO’s 70% interest in WA-360-P.

For the purposes of ASX Listing Rule 17.1, MEO provides the following information:

(a) the trading halt is necessary as otherwise trading in MEO shares may take
place in an uninformed market;

(b) MEO requests that the trading halt remain in place until it is in a position to make an announcement to the market regarding the details of the farm-in
transaction. MEO anticipates that an announcement will be made prior to the
commencement of normal trading on 22 December 2009 and the trading halt
will cease at that time; and

(c) MEO is not aware of any reason why the trading halt should not be granted.

 

[WiseMum]

Re: MEO - Methanol Australia

Yes - at long last. The question is whether to hold or take advantage (hopefully) of an upward spike and jump. I always thought they had potential and i'm inclined to hold ... any thoughts out there to the contrary?

 

[TraderMC]

Re: MEO - Methanol Australia

Hi Wisemum,

Everyone has been waiting and I have been in this for quite a while. If you saw the announcements by MOG yesterday, it was clear that today was going to be the day for the halt, they couldn;t have put it off any longer. MOG had some good news in their release confirming their 15% stake in Artemis and when the drilling meant to be etc. so something has definitely been decided from the farmin and sounds like it should be good news. We are all as anxious as you!!! Good luck!!

 

[TraderJoe]

Re: MEO - Methanol Australia

Hello Wisemum

I suggest you have a look at MOG. The halt was lifted and MEO SP rose 8.05% to trade at a premium increase of 3.5c to close at 47c. The news suggests that MEO has had a positive result with the Farmin. MOG share price early this morning rose sharply. Alot has been said about MEO but it must be remembered that the company DOES hold 2 valuable permits - one next to an already existing rich gas supply. They obviously need a partner to financially explore the drilling aspect. This is my opinion only, I hope you had a 'decent price' locked in prior to the halt because unless it goes into a Halt Suspension, which looks unlikely, the price will not be Purged and if demand is strong for the share it will quickly execute your price. I did realise that MEO was speculative when I bought it but, nothing ventured, nothing gained (or lost!). To all awaiting the result, good luck

 

[Putty7]

Re: MEO - Methanol Australia

I got out of these again not long after getting in for a slight loss as they descended again, wasn't in very heavy so didn't hurt a lot, but not holding at the moment unfortunately. Just watching Moby Oil and Gas (MOG) moving this morning, it bodes well for MEO that the market is anticipating the announcement. It's been a long winded journey with 3 delays to the announcement and a Capital raising thrown in for good measure, Good luck to those who have stuck to their guns and held, I for one will be watching and looking for an entry when they re open.

 

[TraderJoe]

Re: MEO - Methanol Australia

It is good to hear that you are still optimistic Putty7. It is a share that has definitely tested everyones' 'threshhold' to say the least!!! My sister and I still hold a substantial amount but we also 'left some money on the table' on Thursday when it decided to rally. Having said that, you need to take a profit when the market offers it. Like you said, you can still buy in when it opens(pending no surprises!). At least it will be a more stable price and pending no more 'Dubai scenarios' it should trade well.

Yes. MOG certainly did a magnificent dance today. Good luck to those who were at the right place at the right time.

'Til Tuesday or sooner we wait. After all, were they all 'idiots' who paid up to 47c, I doubt it.

 

[pan]

Re: MEO - Methanol Australia

It is good to hear that you are still optimistic Putty7. It is a share that has definitely tested everyones' 'threshhold' to say the least!!! My sister and I still hold a substantial amount but we also 'left some money on the table' on Thursday when it decided to rally. Having said that, you need to take a profit when the market offers it. Like you said, you can still buy in when it opens(pending no surprises!). At least it will be a more stable price and pending no more 'Dubai scenarios' it should trade well.

Yes. MOG certainly did a magnificent dance today. Good luck to those who were at the right place at the right time.

'Til Tuesday or sooner we wait. After all, were they all 'idiots' who paid up to 47c, I doubt it.

Is there some benefit to mog though if the farm in doesnt go forward? You would think it went up today because of the farm in. But what about if it was negative for meo could it be positive in any sense for mog?

 

[TraderJoe]

Re: MEO - Methanol Australia

Is there some benefit to mog though if the farm in doesnt go forward? You would think it went up today because of the farm in. But what about if it was negative for meo could it be positive in any sense for mog?

MOG has a 15% interest in WA-360-P(The Artemis Prospect). Cue holds 15% and MEO farmed into WA-360-P in 2007 for 70%. The MEO terms provide that by 31 Dec 2009 it must either commit to the drilling of a well in WA-360-P or reassign a 35% interest in the permit to MOG and CUE. By making a commitment to drill a well, MEO will thus be required to meet all the costs of that well, including those costs attributable to each of the 15% permit interests held by MOG and CUE.

The news after MOG came out of the trading halt stated that MEO has made an irrevocable commitment to drill the well. We can only assume they have their farm in.

Basically,MEO has an excellent permit, 'use it or lose it' to MOG and CUE.

 

[TraderJoe]

Re: MEO - Methanol Australia

Wisemum

Just to clarify something I said earlier. If a company goes into a Trading Suspension your order will be purged but if it's only in a Trading Halt you can still Amend/Buy/Sell/Cancel an order. You can on Commsec.

 

[pan]

Re: MEO - Methanol Australia

MOG has a 15% interest in WA-360-P(The Artemis Prospect). Cue holds 15% and MEO farmed into WA-360-P in 2007 for 70%. The MEO terms provide that by 31 Dec 2009 it must either commit to the drilling of a well in WA-360-P or reassign a 35% interest in the permit to MOG and CUE. By making a commitment to drill a well, MEO will thus be required to meet all the costs of that well, including those costs attributable to each of the 15% permit interests held by MOG and CUE.

The news after MOG came out of the trading halt stated that MEO has made an irrevocable commitment to drill the well. We can only assume they have their farm in.

Basically,MEO has an excellent permit, 'use it or lose it' to MOG and CUE.

Thanks joe, well said. When is the well going to be drilled? will the company who farms in provide the capital to drill the well?

 

[Putty7]

Re: MEO - Methanol Australia

Thanks joe, well said. When is the well going to be drilled? will the company who farms in provide the capital to drill the well?

The announcement should clarify your questions, MEO recently did a cap raising so if they have to drill themselves while things get sorted out with the farminee they have the cash in hand to do so, originally they were looking to be free carried for the well and re imbursed for some exploration expenditure, what the offer is now is anyones guess because they mentioned a LNG facility into the deal so modifications have been made, as mentioned before the last announcement raised more questions than it answered, then a cap raising followed and the SP crumbled, I dare say a lot will want to look at the announcement before jumping in.

 

[TraderJoe]

Re: MEO - Methanol Australia

Thanks joe, well said. When is the well going to be drilled? will the company who farms in provide the capital to drill the well?

According to MOG's announcement-2nd half of 2010. Yes, farmin will provide the capital in exchange for up to 50pc equity in MEO. BUT, MEO's recent CR plus money in bank etc must be 'plan b'- fund it themselves. Read on another forum that MEO in the US trades as MEOAF and the stock went up 25% on Friday. I checked after business hours and could not get a 'fresh' price- only had 16Dec price- 41US. Have no reason to doubt the posting.

Do not know Pan, I would like to tell you it is a sure Win bet Tuesday but at least MEO will get a Place, at worst.

Good luck to all.

 

[Putty7]

Re: MEO - Methanol Australia

Meo announcement out and open to trading again, SP up slightly, farminee got board approval, drilling is to be set to hold block percentage, Joint release of announcements on signing of binding documents.

 

[bigdog]

Re: MEO - Methanol Australia

MEO 0.48 +0.010 +2.13% high of 0.505 7,031,703 shares $3,449,391 @ 21-Dec 10:58:32 AM

21-12-2009 10:31 AM MEO MOG: WA-360-P Well Commitment from MEO Australia
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01024481

WA-360-P WELL COMMITMENT FROM MEO AUSTRALIA
Moby Oil & Gas Limited (“Moby”) (ASX Code: MOG) advises that MEO Australia Pty Ltd has made a formal election to irrevocably commit to the drilling of the first well in WA-360-P and to pay 100% of the costs of such well.

As a result, Moby will maintain its 15% free carried interest through the drilling of the first well in WA-360-P.

Moby will issue 120,000,000 fully paid shares in Moby to Gascorp Australia Pty Ltd as the consideration for the acquisition of Rankin Trend Pty Ltd, the holder of the 15% interest in WA-360-P.


21-12-2009 10:19 AM MEO WA-360-P Farm-in Progress Report
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01024459

Key Points:
• Farminee has received Board of Director approval to complete farm-in transaction
• Joint release to be made once binding documents have been executed
• MEO triggers well option & commences discussions to secure drilling rig to drill Artemis-1

MELBOURNE, AUSTRALIA (December 21st, 2009) MEO Australia Limited (ASX: MEO) is pleased to advise that its preferred farminee has now received Board of Director approval authorising it to complete the farm-in to Exploration Permit WA-360-P. This approval enables finalisation of the documentation to complete the farm-in which will be subject only to Australian regulatory approvals including the Foreign Investment Review Board (FIRB).

A joint release with details of the farm-in will be made once the agreements have been executed.

Concurrent with this approval, MEO has triggered its option to fund the Permit Year 5 (commencing 1st February 2010) commitment well in WA-360-P, completing its farm-in for a 70% interest in the Permit with Rankin Trend Pty Ltd (a wholly owned subsidiary of Moby Oil and Gas, ASX: MOG) and Cue Exploration Pty Ltd (ASX: CUE). MEO will retain a minimum 20% interest (* refer below) in the permit post farm-out.

Discussions have commenced with drilling rig operators aimed at securing a drilling rig for the second half of 2010 to drill Artemis-1 which is targeting mean prospective resources of approximately 12 Tcf.

WA-360-P participants Equity
North West Shelf Exploration Pty Ltd (MEO subsidiary, Operator) 70%*
Cue Energy Resources Limited (ASX: CUE) 15%
Rankin Trend Pty Ltd a wholly owned subsidiary of Moby Oil & Gas (ASX: MOG) 15%

7293

 

[WiseMum]

Re: MEO - Methanol Australia

"A joint release with details of the farm-in will be made once the agreements have been executed."

It seems that a partial announcement that excludes the actual naming of the Farminee is a bit disappointing. Personally I think this is a good second chance opportunity to get on-board.

Let's hope for a more enthusiastic reaction when the joint release is made.